Qantas, Saa Codeshare Confirmed

26th November 2012

The IASC says it is not likely that a third direct carrier would enter in competition with Qantas on the Sydney route or SAA on the Perth route within the next two years, or enter the route on a different city pairing.

“The commission notes that on this occasion, unlike in 2011, Virgin Australia has not made a submission. Since the Commission's February 2012 Decision, Virgin Australia has announced and commenced codeshare services between Australia and South Africa via Singapore under its alliance with Singapore Airlines,” said the commission.

The IASC said it was not likely that the codeshare airlines would introduce parallel services on one or both routes within the next two years or commence direct services on a new city pairing without the codeshare.

However, after 2014 the commission considers there is a greater prospect of two carriers operating parallel services, assuming trend growth in passenger traffic continues.

The IASC added that either Qantas or SAA exiting the market was not likely within the next two years.

Sourced from Jeanette Phillips / Tourism Update